Jeffrey Gundlach on Facebook

Billionaire investor Jeffrey Gundlach noted that rising commodity and crude oil prices are helping his bets on energy stocks. At the 2018 Sohn Investment Conference, he shared his concerns about the rising bond yield, which could accelerate the Federal Reserve’s rate hike process.

Gundlach also shared his shorting bets at the conference and believes that shorting Facebook (FB) could be profitable for investors. He disclosed that he has taken a short position in Facebook.

Gundlach noted, “Nothing new ever occurs in the business of speculating. What’s happened in the past will happen again and again and again.” He continued, “There’s good and bad going on in the world. Interpretations matter.”

According to Gundlach, Facebook’s recent data breach issue has diminished its perception among consumers and investors. Gundlach added that the Cambridge Analytica data breach was a major problem for the company.

Facebook’s performance

On April 25, Facebook’s (FB) stock price fell 12.0% on a year-to-date basis. FB stock fell ~10.4% in March following the news about the data breach.

The Technology Select Sector SPDR ETF (XLK) fell 3.7% in March, and the S&P 500 Index (SPY) fell 2.7% during the month as concerns about a global trade war intensified.